Image provided by: Morrow County Museum; Heppner, OR
About Heppner gazette-times. (Heppner, Or.) 1925-current | View Entire Issue (May 2, 2007)
Heppner Gazette-Times, Heppner, Oregon Wednesday, May 2,2007 - THREE Sheriff's Report BEO Bancorp earnings up 87% BEO B ancorp, parent company of Bank o f E astern O regon, reported an 87% increase in earnings in the first quarter of 2007. E arn in g s for 1Q 2007 at $455,000 co m p ared $ to 243,000 1Q2006. Loan growth up 8% y e ar over year. T otal rev en u e in c re ase s 16% year over year. L oan q u ality strong with past due loans at 0.06% of outstanding loans. L oan L oss Reserve increases to 1.26% o f outstanding loans. F or fu rth er in fo rm atio n on the Com pany or to access Internet banking, please visit our website at http:/ Avww.beobank.com. Financial Perform ance BEO B ancorp delivered record earnings in the first quarter of 2007 with net income of $455,000. This is an 87% in c re ase over the $ 2 4 3 ,0 0 0 earn ed in 1Q2006. Earnings per share for the first quarter were $ 1.03 compared to earnings per share of $.55 in 1Q2006. “We are very pleased that the company is performing at this level. O ur e m p lo y ees are delivering the impressive results you see in this release,” said President and C E O , E. G eorge Koffler. ROAA improved from .57% in the first quarter of 2006 to .98% in 2007 on an annualized b a sis. RO AE also improved year over year increasing from 12.37% to 18.93%. R ev e n u e a n d Expense Total revenue growth was a bright spot w ith total incom e o f $3,658,000 in 1Q2007 compared to $3,154,000 in 1Q2006, an increase of 16%. Leading the way was total fee incom e, w hich grew from $171,000 to $237,000, a 39% increase. Both the mortgage division and the financial services division had good results adding to that total. f Expenses grew at a slower pace, increasing from $2,911,000 to $3,203,000, a 10% in crease. S a la rie s, em p lo y ee b e n e fits, and interest expense show the largest increases. Loan G row th and C redit Quality The loan portfolio showed steady growth year over year grow ing form $ 1 0 8 ,9 5 4 ,0 0 0 to $ 1 1 7 ,9 6 8 ,0 0 0 , an 8% increase. "There was some softness in loan growth we didn’t anticipate in the first quarter ans some unexpected loan payoffs stunting totals. However, our pipeline is im p ro v in g and we are hopeful we will perform at budget numbers for the next three quarters,” said EVP and CCO, Jeff Bailey. Credit quality remained strong with past due loans at 0.06% as a p e rc en ta g e o f lo an s at quarter end compared to no past due loans at the same time last year. Charge offs for the first quarter were minimal at $ 1,280. The loan loss revenue continued to strengthen with $260,000 added to the LLR in the past year and the LLR to total loans ending at 1.26% of loans or $l,50k7,000. Non accru al loan s w ere at $121,(XX) at the end of the quarter. D e p o sit G ro w th and O perations Deposits increased at a modest pace year over year, gro w in g from $ 1 6 2 ,9 1 0 ,0 0 0 to $ 165,226,000. “We continue to look for efficiencies in the o p e ra tio n and n eg o tiate terms with vendors to obtain pricing advantages. We have alsd launched a debit card usage cam paign that we b eliev e w ill add to the bottom lin e ,” said G ary Propheter, EVP and COO. N et I n te r e s t M argin and Interest Rate Risk The bank’s interest rate risk is very manageable with RSA to RSL ratios w ith in po licy lim its. R egarding net in te re st margin, the bank is bucking the trend of NIM compression experienced by many banks. 1Q2007 NIM was 5.15%. This compares to NIM of 4.59% in 1Q2006. “We have been on a year long cost of funds reduction initiative and it is paying dividends. We are hopeful that any market changes in the future can be managed to preserve the margin we now have,” said Mark Lemmon, EVP and CFO. Capital and Equity S U n d a y ’ M a y 13th W e h a v e lo ts o f th in g s to m a k e h e r s m ile ... ca rd s, c a n d y , flo w e r s , ^ , Hnyyy Mother's Day! tlVy « of IF e e i <Ur"I 3/31/Q7 3/31/06 %Change Cash and due from banks Federal funds sold Sécurités, at fair value Net loans Premises and equipment Other real estate owned Other assets Total Assets $10,385 6,620 42,250 117,968 5,120 - 6*000 $1,883,436 $13,269 3,945 45,873 108,954 5,012 104 5*965 $183,122 -21.70% 67.80% -7.90% 8.30% 2.20% -100.00% 0.60% 2.90% Liabilities and Shareholders’ Equity Liabilities Deposits Noninterest bearing Interest bearing Total deposits Borrowed funds/Repurchase Account Other liabilities Total liabilities $25,963 139,263 165,226 4,676 8*562 178,464 $25,497 137,413 162,910 4,032 7*224 174,916 1.80% 1.30% 1.40% 16.00% 7.40% 2.00% Shareholders’ Equity Common stock Additional paid-in capital 2,202 1,487 2,202 1,487 0.00% 0.00% Retained earnings and accumulated ot 6.190 4*512 37.00% 8*206 $183,122 20.40% 2.90% Assets Condensed Statement of Income (Un-audited) « Results of Operation Three Months Ending 3/31/06 $2,713 1*061 1,652 50 % Change 16.80% 8.00% 22.50% 20.00% Net interest income after provision for possible lo 1,964 1,602 22.60% 488 1*858 594 $455 441 1*226 267 24 $243 10.70% 4.60% 122.50% 497.20% 87.20% $1.03 0.98% 18.93% $0.55 0.57% 12.37% 87.20% 71.30% 53.00% Interest income Interest expense Net interest income Provision for possible loan losses Noninterest income Noninterest expense Income before taxes Income taxes Net Income Earnings per share Return on Average Assets Return on Average Equity We have M u sta n g H a ts • T - S h ir ts CIEAM I M G 9.879 $188,343 Total shareholders’ equity Total liabilities & shareholders' equity S w e a ts h irts SP P IM G Bums, John Day, Prairie City, Fossil and Moro. Bank of Eastern Oregon also operates a mortgage d iv isio n , has loan p ro d u c tio n o ffic e s in Hermiston and Ontario, and o ffers b ro k erag e serv ices th ro u g h BEO Financial Services. The b a n k ’s w eb site is www.beobank.com. Condensed Balance Sheet (Un-audited) S p ir it <3earl w in e a n d m u c h m o r e ! an increase of $1,673,000, or 20% year over year. A bout BEO Bancorp BEO Bancorp is the holding company for Bank of Eastern Oregon, which operates 11 branches in six eastern Oregon counties, B ranches are lo cated in Arlington, lone, Heppner, Condon, Irrigon, Boardman, BEO B ancorp Consolidated Financial Highlights (Dollar amounts in thousands — except earnings per share) D o n 't f o r g e t to o r d e r y o u r f lo w e r s f o r th e H e p p n e r P r o m on S a t u r d a y , H a y 5 th ! R em em b er M om on M oth er’s Day! , A ll m easu res o f capital ratios at the bank and the h o ld in g com pany improved year over year and linked quarters. At the bank level, Tier 1 capital improved from 7.87% to 8.55% year over year. The equity o f the company has grown from $8,206,000 to $9,879,000, SALE'[ 4 ® 3/31/07 $3,170 1*146 2,024 60 m DA’s Report Divorces M orrow C ounty District Attorney Elizabeth B allard has released the following report: -Richard Peck was convicted of contempt, an unclassified misdemeanor - 30 days in jail with 27 days suspended, credit for time served of three days, $376 in fines, fees and assessments. M orrow C ounty District Circuit Court has released the fo llo w in g report: -Gonzalo Cervantes, 32, or Irrigon and Mireya Rios Lemus, 30, of Irrigon have filed for divorce. \ I il in 1 n < in 1» r iHW im nli in list... Morrow County Community Clcan-lp Event FREE DUMPING at the North and South End Sr L i ih ms 25 % - 75 % ( F F ! Transfer Stations on May Ç-6, 2007 NORTH END TRANSFER fffATION: 69900 Frontage Lane, Boardman. OR 97818. Saturday and Sunday. We have n anini sa n d w ich es and salad for lunch! Just vount u .snack? Try a croissant. bagel, toaster muffin or muffin top! W e will accep t lu nch call-in orders from 11:30 a.m. • 2 p.m. (676-9158) 9 am 4 p.m. 80UTH END TRAN VER STATION: ^ M u MUJ'4 ÜW) ) 217 North Main • Happner P hone 676-9158 • Floral 676-9426 Serving Heppner. Lexington A Ione 57185 Hwy 74 Lexington. OR 97839 p le a s « Saturday and Sunday. Inform ation , ca ll (5 4 1 ) 9 0 0 - 9 5 0 0 9am 4p.m. 1 The Morrow County Sheriff’s Office reports han dling the following business: M a rc h 22: B oardm an P olice D ept, officer cited Mario Martin G alv ez A ngulo, 43, for D riving w hile L icense S u sp en d ed and D riving Uninsured. -B oardm an Police Dept, received a report from a caller in Boardman that her vehicle was struck by an unknown vehicle while she was at the Shell station last night. -B oardm an Police Dept, officer cited Kathleen M arie E ld rig e , 57, fo r Violation of the Speed Limit, 38 mph in a 25 mph zone. -B oardm an Police Dept, received a report from a caller in Boardman of an altercation; a male subject was getting “nose to nose” with the caller’s husband. The male subject had been drinking. The caller wanted him to leave. -B oardm an Police Dept, received a report from a caller in Boardman of an elderly male subject walking down the road. This was second time the caller saw him out there; he was in the middle of the road and she almost hit him. -B oardm an Police Dept, officer cited Trena Michelle Roberts, 34, for Violation of the Speed Limit, 83 mph in a 65 mph zone. -B o ard m an Fire Dept, received a report of an autom atic fire alarm at a business in Boardman. It was determ ined to be a false alarm. M arch 23: -MCSO deputy arrested Julio Ruelas Castellano, 25, was arrested on an Irrigon Justice Court w arrant fo r F ailu re to A p p ear/D riv in g w hile L icense S u sp en d ed . He posted bail and was released. -MCSO received a report from a caller in Irrigon that a male subject quit but refuses to give back keys. -MCSO received a report from a caller in Irrigon that he is getting calls from someone saying they are from Qwest and are trying to get account numbers from the caller. When the caller does not give them account numbers, they hang up on him. -MCSO received a report from a caller in Irrigon that a juvenile was caught stealing a Vault energy drink. -MCSO received a report from a caller in Irrigon of kids shooting a BB gun, -MCSO received a rep o rt o f an ab andoned vehicle. A deputy had seen the vehicle parked with the keys in it; the deputy wanted som eone to ch eck on it again. If it was still there in the morning, a deputy would go speak to the landowner about it. -MCSO received a report from a caller in Irrigon that he came from Montana to pick up his sons but his ex-wife would not let the kids go. The caller did not have paperwork stating he has custody; he was advised to contact his attorney and the court. -MCSO, Boardman Police Dept, received a report from a caller that his daughter's husband was calling from Boardman to a location in Washington threatening their lives; he was also possibly running from law enforcement. -MCSO received a report from the Umatilla Police Dept, that a male subject was putting up security cameras at his residence in Irrigon due to problem kids in the area.
